OPEC maintains global oil demand forecast for 2021

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OPEC maintained its forecast for strong global oil demand in 2021 for the second month in a row but raised estimates for crude supply by non-OPEC countries.

In its monthly report, the Organization of the Petroleum Exporting Countries said demand is likely to rise by 6 million barrels per day (bpd) to 96.58 million bpd this year.

Non-OPEC supply is forecast to grow by 0.84 million bpd year-on-year (YoY) to 63.7 million bpd in 2021, increasing about 0.1 million bpd from last month's forecast.

According to the report, OPEC production rose by 390,000 bpd in May to 25.46 million bpd.

OPEC expects 2021 world economic growth at 5.5%, unchanged from last month, expecting the impact of the pandemic to be “largely contained” by the beginning of the second half.

“The ongoing vaccination efforts, growing share of recovered cases leading to increasing herd immunity, and the easing of lockdown restrictions lend optimism that the pandemic could be contained in the few months to come," the report noted.